Firefighter Credit Union Newsroom

Many younger consumers have never written a check, and probably never will, yet their checking accounts remain a primary hub for them. As new technologies and apps lead consumers to use these accounts very differently, banks and credit unions need to rethink their checking strategies, especially how they generate revenue. Now that checks have become the payment method of last resort for most consumers, many industry observers argue the term “checking account” is a misnomer and that these accounts — at least as we have known them — will no longer exist in the coming years. While checking accounts remain central to consumers’ lives, they’re now far more driven by mobile devices and digital functionality than actual checks, which even older consumers now use only infrequently. “Younger consumers are less wedded to the term of ‘checking account’ and think of it more as a ‘digital access account,’” says Mark Hamrick, Senior Economic Analyst at Bankrate.com. “Within five to ten ...

 WASHINGTON–The U.S. economy contracted in the first three months of the year, but strong consumer spending and continued business investment suggested that the recovery remained resilient, according to some analysts. Curt Long, NAFCU According to the Commerce Department, gross domestic product, adjusted for inflation, declined 0.4% in the first quarter, or 1.4% on an annualized basis. Those numbers are down considerably from the 1.7% growth (6.9% annualized) reported in Q4 2021, and reflect the weakest quarter since the early days of the pandemic. "GDP growth in the first quarter failed to meet even the low expectations of forecasters. The main culp...

  A new version of the web-based on blockchain technology — is being predicted and promoted. Even though the trend has vocal naysayers, elements of Web 3.0 are already in use, including by a new crop of disruptive nonbank competitors. By Steve Cocheo , Executive Editor at The Financial Brand If the term “Web 3.0” has crossed your radar, and you are wondering what it is and whether it’s worth starting another ulcer over, we have four words for you: Eco, Valora, Compound and TrueFi. Eco, which promotes the fact that it is not a bank and not FDIC insured, offers accounts held in stablecoins that function as both spending and savings accounts, but with higher returns. Valora is an app available through the App Store and Google Play that uses the blockchain to deliver a version of P2P services out of a mobile crypto wallet. Compound describes itself as “an algorithmic, autonomous interest rate protocol built for developers, to unlock a universe of open financial applications.” Among the...

NEW YORK–A former Brooklyn Supreme Court judge who was found guilty of obstructing an investigation into the embezzlement of funds from a major New York credit union has been sentenced to 15 months in prison, meaning she will now join the CU’s former CEO in also  serving time. Manhattan federal court Judge Lewis Kaplan sentenced Sylvia Ash to the term in prison. As a result, Ash resigned from her position as a justice of the New York State Supreme Court. Ash had once served as the chairman of the board at Municipal Credit Union. As CUToday.info reported , following a two-week trial, Ash, 64, of Brooklyn, was convicted of conspiracy, obstruction of justice and making a false statement to a federal agent. She was acquitted of another obstruction count. The verdict was returned in Manhattan federal court after jurors heard evidence supporting charges that she took steps over multiple months to obstruct the investigation into financial misconduct at Municipal Credit Un...

CUT0day DENVER–A divided panel of the U.S. Court of Appeals for the 10 th Circuit has ruled that one national bank’s extended overdraft fee is not “interest” under the National Bank Act (NBA). The court ruled in  Walker v. BOKF, National Association  that the extended overdraft fees charged by BOKF were not “interest” under the National Bank Act (NBA).  The Tenth Circuit’s ruling on what it called “an issue of first impression in this circuit” follows similar rulings by the First and Fifth Circuits, Consumer Finance Monitor reported. “The plaintiff had a checking account with BOKF.  When presented with an item that overdrew the plaintiff’s account, BOKF elected to pay the item and charged the plaintiff an initial overdraft fe...

  ARLINGTON, Va.—Existing home sales fell 2.7% in March to a seasonally adjusted annual rate of 5.77 million annualized units, representing a 4% decrease in sales compared to last year. “Existing home sales fell again in March. The inventory-to-sales ratio rose slightly but remains extremely depressed,” said NAFCU Chief Economist and Vice President of Research Curt Long. “Despite the surge in mortgage rates, the market remains demand-heavy. Many would-be sellers are likely reluctant to part with two valuable assets: their current home and their mortgage rate." Based on current month sales, there were 2.0 months of supply in March, up slightly from 1.7 months in February. Analysts consider six months of inventory a rough balance between supply and demand. Sales fell in most regions last month, with the Midwest falling by 4.5% on the month, followed by the South (-3%), and the Northeast (-2.9%). The West saw no change. Rising Rates Being Felt “There is evidence that demand is coolin...

 ALEXANDRIA, Va.–A rule enacted by the bank regulatory agencies in late 2021 that requires notification by banks of “any significant computer-security incidents” may become a model for a similar rule from NCUA. In November 2021, the FDIC, OCC and the Federal Reserve approved a rule that requires banking organizations to notify them of such incidents as soon as possible and no later than 36 hours after a determination that such an incident has occurred. The rule went into effect April 1 with compliance by banking organizations and their service providers required by May 1. The bank regulators defined a “computer-security incident” as one that results in “actual harm to the confidentiality, integrity, or availability of an information system ...

Headlines have become increasingly important in the online era, and associations have to write a lot of them. Here are a few tips to leverage to maximize your content’s reach. By Ernie Smith Apr 20, 2022 Associations may not be newspapers, but like publications and other media outlets, they have to write a lot of headlines, whether for blog posts, emails, white papers, or other communications. Here are some headline-writing tips to help you draw in your audience, and move the needle on your messaging. Focus on the Power of SEO Writers and search engine optimization don’t always fit together comfortably, but the fact of the matter is, many people are going to find your articles through methods such as search engines. If your headlines are written to be cute or funny rather than relevant, it could threaten the reach of the stories you write. As Poynter noted , it’s important to embrace things that in a prior era of headline writing would be considered a no-no, such as us...

  Associations are vulnerable to cyberattacks. These four steps will help get staff up to date to better protect member data and your organization. With cybersecurity threats on the rise, it is important for associations to take steps to protect themselves and their members. Here are four cybersecurity tips to help keep your data and members’ information safe. Employee Training Nearly 94 percent of malware and phishing attacks are sent via email . That’s why it is essential for all employees to be aware of the importance of cybersecurity and know how to spot a potential threat. Many times, hackers will target an organization by targeting its employees. By training your employees, you can help them avoid becoming a victim of a cyber attack. Your employees are your first line of cybersecurity defense. If your employees have the tools and training to detect cyber threats, they will be better equipped to protect your networks and data. Outfitting your employees ...

  HOUSTON, April 19, 2022 – With plans to expand and add a number of ATMs after obtaining a new Residential Common Bond state charter, Southwest Louisiana Credit Union has partnered with Dolphin Debit for ATM management services. The Lake Charles, Louisiana-based credit union already has three ATMs with Dolphin Debit and has plans for several more in the near future. Dolphin Debit, the full-service ATM management company, provides turnkey ATM outsourcing service that includes purchase and deployment of new ATMs, purchase of a financial institution’s existing ATMs, terminal driving, transaction processing, ATM maintenance, armored car service, communications, monitoring and dispatch, and cash management. Southwest Louisiana CU is traditionally a SEG-focused credit union aimed primarily at the oil and gas industry and healthcare. But in January, the credit union’s new charter was approved, allowing it to focus on three parishes around Lake Charles, in the far southwest cor...

NEW YORK—Expect home prices to rise at a faster pace than expected, according to a new report from the Federal Reserve Bank of New York. The New York Fed’s 2022 SCE Housing Survey shows that households expect home prices to rise at a faster pace over the coming twelve months than New York Fed experts forecast last year. However, rent change expectations were higher than home price expectations over both the short- and medium-term. Households also expect relatively low home value appreciation over the next five years. Owners, and especially renters, expressed a lower expectation of buying a home if they were to move over the next three years. Renters also reported a marked decline in their expectations of ever owning a home, th...

CUToday PHILADELPHIA–Many Americans are using alternative financing arrangements, such as rent-to-own, that a new report from Pew Charitable Trusts indicates are generally riskier, more costly, and subject to far weaker consumer protections and regulatory oversight than traditional mortgages. Pew Trusts sad the “evidence suggests that a shortage of small mortgages, those for less than $150,000, may be driving some home borrowers (i.e., people who purchase a home with financing) who could qualify for a mortgage into these alternative arrangements. And other factors related to a home’s habitability and the ownership of the land beneath a manufactured home—the modern version of a mobile home—can make certain homes ineligible for mortgage financing altogether.” According to Pew, the evidence of potential consumer harm, little is known about the prevalence of alternative financing in the U.S., primarily because no systematic national data collection exists. Pew said approximate...

  By Bo McDonald I recently read an article in  American Banker  titled, “Merge or die: Small credit unions struggle to stay afloat.” What a click bait headline and a patently false blanket statement! One of my biggest rules when I facilitate a credit union strategic planning session is: NO blanket statements. I’ll ask for data to back what’s being said in order to  prove  a statement.  I would ask the same of  American Banker  on this headline. Not all small, or as I prefer to refer to them, boutique credit unions, are struggling to stay afloat. Those that choose to merge are typically doing so for one of a few reasons: “No succession planning.” Shame on the leadership and board f...

Existing home purchases are likely to fall this year, but higher prices will cause originations to rise slightly. The Mortgage Bankers Association on Wednesday lowered its forecast for both refinance and purchase originations this year and next as interest rates rise faster than it anticipated and expectations rise for more aggressive actions by the Fed to curb inflation. MBA Chief Economist Mike Fratantoni said mortgage rates have risen by more than 1.5 percentage points since Jan. 1. “This rapid increase in rates, caused by a much more rapid pace of rate hikes and balance sheet reduction from the Federal Reserve, is in response to the booming job market and inflation being at a 40-year high,” Fratantoni said. “The jump in mortgage rates will slow the housing market and further reduce refinance demand the rest of this year.” Also on Wednesday, the MBA reported the fifth consecutive drop in its Weekly Mortgage Applications Survey. The number of applications in the week en...

The FedNow Service is a new instant payment service that the Federal Reserve Banks are developing to enable financial institutions of every size, and in every community across the U.S., to provide safe and efficient instant payment services in real-time, around the clock, every day of the year. Through financial institutions participating in the FedNow Service, businesses and individuals will be able to send and receive instant payments conveniently, and recipients will have full access to funds immediately, giving them greater flexibility to manage their money and make time-sensitive payments. Consistent with the Federal Reserve’s historical role of providing payment services alongside private-sector providers, the FedNow Service will provide choice in the market for clearing and settling instant payments as well as promote resiliency through redundancy. Financial institutions and their service providers will be able to use the service as a springboard to provide innovative instant p...